Declaratory Action on Invalid Authorized Increase of Common SharesPart 1
Discovery Minerals, Ltd., played it loose and fast on the redomicile, and if not for the par capital mismatch discovered, would of gone undetected, as per the intent of management.
This authorized capital increase from 5 to 10 billion without shareholder notice is about as big as a gotcha as you can find. For something this big to stick the "scienter" or managements state of mind must be solid and it is.
In all filings pertaining to Discovery Minerals, Ltd, there is not one mention of the redomicile process, or the increased in authorized common to 10,000,000,000. No mention of this in the subsequent events disclosure, not in the footnotes of the financials, and most alarming no disclosure of the stated authorized par capital being increased from $50,000 to $1,000,000 in the financials.
In support of management's conscious state of mind to evade disclosure of the Wyoming redomicile of DSCR to increase authorized shares from 5 to 10 billions common shares include.
Time Line
1.a On June 18, 2018 Russell Smith signed a resolution as sole director of Discovery Minerals Ltd., to file an application in Wyoming to continue the company from Nevada.
Wyoming filed Articles of Continuance, Discovery Minerals, Ltd., on June 19, 2018
*** OF IMPORTANCE OFFICIAL REPRESENTATION TO WYOMING SOS***
DATE: June 19, 2018 Number of Shares: 4,986,999,994 Class: Common Series: Par Value per share: $.01
On June 30, 2018, DSCR closed out it third business quarter and filed its mandatory report with OTC markets. In this report DSCR omitted the following: